Workers at two Ford Motor plants in western Germany are set to go on strike on Wednesday, a move that follows employee backlash over the company’s planned job cuts in Europe, the head of the works council said on Monday.
The industrial action comes after Ford announced in November that it would reduce around 4,000 jobs across its European operations by 2027, with most of the cuts expected in Germany and the United Kingdom. The company said the decision was part of a wider restructuring plan aimed at addressing financial losses and adapting to a changing automotive landscape.
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Ford cited slowing demand for electric vehicles and broader economic headwinds as factors contributing to the cuts. It also plans to reduce output at its Cologne factory, where it produces electric versions of the Explorer and Capri models.
The German labor union IG Metall held a vote last week, with 93.5% of members supporting strike action. “Ford must act now—otherwise, we will go through with it,” said Kerstin D. Klein, Chief Representative of IG Metall Cologne-Leverkusen.
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Ford, like other global automakers, is contending with growing competition from Chinese manufacturers such as BYD, whose EV sales outside China have grown for five consecutive months. In Germany, BYD registered 1,566 vehicles in April, outpacing Tesla with 855, while Ford recorded 9,534 registrations.
The automaker is also bracing for potential disruptions related to U.S. auto tariffs. During its recent earnings call, Ford warned the tariffs could cost the company as much as $2.5 billion this year. However, Chief Financial Officer Sherry House said new electric vehicle launches in Europe helped more than double the wholesale volume for its Model e unit in the first quarter.
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To support adoption, Ford has introduced a “Power Promise” promotion in Europe, which includes incentives such as a free home charger for EV buyers.
Source: Reuters